Russell Huk
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living wage

living wage

Hi All

Does this living wage apply the same way as NMW.  What if employers dont want to pay this? is it mandatory?

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04th Mar 2016 16:28

The national living wage is mandatory.

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By David08
04th Mar 2016 16:32

Yes, mandatory for any staff who are 25 or over

 

EDIT: beaten to it!

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04th Mar 2016 16:32

what if an employee is working with no specific contract of employment - lets say, someone helping at a restaurant for 2 weeks, getting cash in hand.  Is it mandatory for them to receive the NLW?

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04th Mar 2016 16:51

Illegal worker

Russell Huk wrote:
what if an employee is working with no specific contract of employment - lets say, someone helping at a restaurant for 2 weeks, getting cash in hand.  Is it mandatory for them to receive the NLW?
If someone is already ignoring all the other legal requirements related to employment, they might as well ignore the NLW as well. There is no legal position of being only "sort of an employee".

If they would rather operate within the law then all parts of the law (including paying NLW) apply.

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04th Mar 2016 16:47

I would be advising my clients to do things correctly.

So if a PAYE scheme is operated, these employees need to be paid through it. They also need to be paid the minimum / living wage - regardless of the method of payment.

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04th Mar 2016 17:34

I think I did not pose my question properly, suppose a person was bought in to work at the said restaurant for 2 weeks, obviously on the payroll but paid in cash. This person might have an implied contract but not anything specific as small businesses often doesn't have comprehensive contracts like larger businesses. With this in mind, since no contract exists, would the NLW still be applicable?

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04th Mar 2016 18:47

Yes

Russell Huk wrote:
I think I did not pose my question properly, suppose a person was bought in to work at the said restaurant for 2 weeks, obviously on the payroll but paid in cash. This person might have an implied contract but not anything specific as small businesses often doesn't have comprehensive contracts like larger businesses. With this in mind, since no contract exists, would the NLW still be applicable?

Why would you think otherwise?

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04th Mar 2016 17:39

Yes

It is mandatory, if the employee is 25 or over.

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04th Mar 2016 17:55

Why?

Why is this not called the National Minimum Wage for over 25s if it's mandatory?

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04th Mar 2016 18:08

I'm not sure

ChrisScullard wrote:

Why is this not called the National Minimum Wage for over 25s if it's mandatory?

Maybe NLW gets more kudos for the government. ;)

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04th Mar 2016 18:11

What a Great Question !

ChrisScullard wrote:

Why is this not called the National Minimum Wage for over 25s if it's mandatory?

One for Dave Cameron to answer.

Or his Spin Doctor.

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By Glennzy
05th Mar 2016 00:28

NMW & NLW

I do quite a bit of work in healthcare and a lot of the local authority contracts were written where fee uplifts had to be in line with increases in NMW. and have used the name change to try and get out of future uplifts now that NMW is no more.

The local association lawyers have batted it straight back at them stating try not paying it.

I don't understand the name change either as it now confuses it with the real living wage.

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05th Mar 2016 09:36

It makes

Glennzy wrote:

I do quite a bit of work in healthcare and a lot of the local authority contracts were written where fee uplifts had to be in line with increases in NMW. and have used the name change to try and get out of future uplifts now that NMW is no more.

The local association lawyers have batted it straight back at them stating try not paying it.

I don't understand the name change either as it now confuses it with the real living wage.

Politicians look more "special" than they already are.

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05th Mar 2016 19:09

Worse than that

The National Minimum Wage exists. It's just that when you hit 25 the NMW that you get is called National Living Wage instead.

The adverts about the "government's" national living wage really make me angry. It is another case of the government claiming all the credit while getting businesses to pay all the costs.

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06th Mar 2016 19:28

I quite agree

stepurhan wrote:

The National Minimum Wage exists. It's just that when you hit 25 the NMW that you get is called National Living Wage instead.

The adverts about the "government's" national living wage really make me angry. It is another case of the government claiming all the credit while getting businesses to pay all the costs.

 

...but that's politics for you.

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